Failure to Pay Overtime Has a Cost

The U.S. Department of Labor recently sued a drywall company in Oregon for violating the Fair Labor Standards Act. The company, Westside Drywall, Inc., paid their employees piece-rate wages and didn’t compensate for overtime. The company was ordered to pay $800,000 to workers for back wages and liquidated damages, and this amount could go up as litigation continues.

“We will not tolerate employers, like Westside Drywall, that cheat workers out of their hard-earned wages by ignoring their legal responsibilities,” said Thomas Silva, district director for the Wage and Hour Division in Portland. “This lawsuit sends a clear message that the U.S. Department of Labor will not hesitate to ask a court to intervene and enforce the law when an employer willfully withholds wages. When employers fail to play by the rules, like Westside has done repeatedly, they harm workers and their families and gain an unfair advantage over their competitors who pay fair wages.”